a L a N u S V o N R a d E C K I | N o R a F a N d E R L | M a I K E B u T T L E R | E L E N a K R y L o Va

CIty Lab Prague – eXeCutIve suMMaryM a R C H 2 0 1 6

City of the Future

Contents

1 Introduction 4

2 Prague City Lab Process 7

3 Cityprofile 83.1 Governance system 103.2 Economy & Innovation system 113.3 Space, Planning & Mobility 123.4 Buildings 143.5 Energy system 15

4 Strategy & Suggested measures 16

5 Suggestedmeasures 185.1 Leadership system & Governance 205.2 Digital & Creative Prague 215.3 Space, Planning & Mobility 225.4 Energy & Buildings 23

6 Roadmap:Praguedevelopmentsystem 24

7 Conclusion 26

1 IntroduCtIon

Today Prague is standing at a crossroad. Prague has the potential for a bright and strong future,

but it has not yet defined the strategic pathways of transition. Prague has not yet developed

a clear vision for the future and it has not quantified goals for development. However, the city

is currently pushing for the re-development of a strategic plan and it is in the middle of the

process of developing the new Masterplan (Metropolitan Plan).

This combined with the city’s obvious economic strength and its rich history and attractiveness

for people worldwide creates a large potential for a focused, smart, and sustainable urban

development. This was the reason why Prague was selected as the first winner of the Morgen-

stadt City Challenge in June 2014.

The in-depth analysis of Prague was carried out based on the Morgenstadt assessment frame-

work for sustainable urban development. This framework is structured into three levels of

analysis, which in sum are designed to understand the current sustainability performance of

cities and come to coherent strategies and an integrated roadmap for development. A mixture

of quantitative benchmarks and qualitative data analyses certifies that an objective performance

profile of Prague can be generated, while at the same time respecting the individual factors

of the city that make a direct comparison with other cities difficult. This points towards an

ndividual strategy for Prague.

4

The purpose of the Morgenstadt City Lab Prague was to identify the strengths and weaknesses

of the city across several sectors and action fi elds for a smart and future-proof development. It

was also intended to identify main future opportunities, current barriers that need to be over-

come, and to show possible trajectories for a sustainable development of Prague.

Figure 1

Standardized data assessment helpstoidentifykeychallenges& opportunities

What is the quantifi able sustainability

performance of the city?

Assessment of Indicators

How does the city address sustain-

ability?

Assessment of Action Fields

Why do or don’t things work in

this city?

Assessment of Impact Factors

MorgenstadtFrameworkAnalysisofInterfaceshelpstodesignindividualstrategiesforcities

Relation Indicator / Action Field shows

measures and priorities:

What needs to be done?

Relation Action Field – Impact factors

shows conditions of project develop-

ment:

How do projects have to be

designed?

What are the key factors to

build on?

41

23

5

dPSIR Indicators

33 Pressure Indicators

59 State Indicators

14 Impact Indicators

Analysisofinterfaceshelpstodesignindividualstrategiesforcities

MorgenstadtframeworkStandardized data assessment helpstoidentifykeychallenges& opportunities

5

Prague wins Morgenstadt

CityChallenge

Prague Indicators

�� Assessment of 106 indicators

for Prague

�� Pressures on the city system

�� State of the city system

�� Impact on the city system

Prague Impact Factors

Identification of challenges,

opportunities, barriers, and ideas

for action by means of semi-

structured interviews

57 Interviews with local stake-

holders and experts on the most

important urban factors

BenchmarkingofPrague

Comparison of Indicators with

Morgenstadt benchmarks

PragueActionFields

Assessment of 83 Action Fields for

smart & sustainable development of

Prague

City Team

March April May June July August

Alanus

von Radecki

Nora

Fanderl

Elena

Krylova

Adam

Pajgrt

Maike

Buttler

Klara

Novakova

6

2 Prague CIty Lab ProCess

ProfilingofPraguewith the

Morgenstadt Action & Response Model

for sustainable urban development

Creation of Prague systems

models based on most

important impact factors

Measures&IdeasforAction

�� Development of 10-15 measures and ideas

for action that support and accelerate

smart and sustainable development of

Prague

�� Workshops with local stakeholders for

developing the measures and initiating first

projects

�� Involvement of Morgenstadt Partners as

experts for technologies, infrastructures,

and smart city solutions

Prague Roadmap

�� Definition of details (costs, timeframe,

funding opportunities, stakeholders, etc.)

for each project

�� Integration of measures, projects, and

actions into a coherent roadmap

�� Maximization of synergies between projects

Finalconference:April6,2016

�� Presentation & handover of Roadmap

�� Kick off: first projects

September October November April

7

3 CIty ProfILe

ICT

Water

Education

Ener

gy

Business Tactics

Urban Planning

Buildings

Resilience

Tran

spor

t

Incentives

R&D Tactics

Imag

e

Strategy & Planning

Organization

& Structure

Regu

latio

ns

Buildings

�� Lack of crucial information on energy performance of

Prague’s building stock

�� Collection of data on energy performance requires

political will as it is associated with high upfront and

operational costs

�� Modernization rate of the building stock is low

�� Strong need for a new Building Code containing clear

regulations

Energy System

�� High demand for energy and electricity

�� Potential for renewable energy use is not well

exploited

�� Various barriers for the use of renewable energy

sources

�� Incentives for energy efficient industries are needed

Governance

�� Strategic development topics not on political agenda

�� New partnership with private sector necessary

�� Strong need for “Smart Governance“

�� Need for integrated management approach

�� Lack of clear vision for future-proof urban development

�� Lack of coherent development strategy with measurable

goals

8

ICT

Water

Education

Ener

gy

Business Tactics

Urban Planning

Buildings

Resilience

Tran

spor

t

Incentives

R&D Tactics

Imag

e

Strategy & Planning

Organization

& Structure

Regu

latio

ns

Economy & Innovation

�� Promising innovation landscape

�� Enterpreneurship hindered by risk-adverse conservative

mentality

�� Spatial distance to main technological hubs

�� Lack of cooperation in R&D

�� Businesses relocate away from Prague in search of tax

reduction benefits and lower living costs

�� Established tradition of excellent technical and mathemati-

cal education

�� Potential to become an international a hub for IT, creativity

and culture

Space,Planning&Mobility

�� Urban sprawl has resulted in road congestion and air

pollution

�� A reduction in car traffic has not been achieved despite

significant investments

�� Prague has no soft mobility systems (P&R, B&R, car-sharing,

mobility hubs)

�� Use of private cars is still perceived as more attractive than

public transportation

�� Little colllaboration between City of Prague‘s and Prague

Region’s transportation systems

9

3.1 governance system

The current leadership and governance system of Prague is facing a range of challenges that

need to be tackled in the coming years in order to transform the traditional city administration

into a strategic and transparent management unit for the entire city.

Strongneedfor“SmartGovernance”

There are numerous examples of impressive development projects in Prague that show good

results and support healthy and equitable development of the city. The well-developed public

transportation system and the extensive flood protection system are two examples of this. Yet

the Prague City Hall does not follow an integrated management approach to pursue smart and

sustainable urban development, which creates a vacuum of strategic management across the

city administration (when it comes to strategies, projects, and measures that need to be tackled

in collaboration by several departments and offices) and it creates additional costs, since

measures and interventions are not coordinated across the departments.

The lack of a clear vision for the future development of Prague and the lack of measurable

goals certainly represents the strongest barrier to a focused sustainable long-term development

of Prague at the moment, since no security for planning and investment is given. In sum this

lack of a coherent development strategy has led to a range of expensive infrastructure projects

and to delayed and discarded projects. At the same time, important industrial players are

hesitant to invest into innovations and R&D in Prague because of the city’s missing commitment

towards achieving strategic sustainability goals

With concepts like “Smart Prague 2014 – 2020“ or the “Implementation Programme of the

Prague Strategic Plan“ Prague demonstrates the will to take the necessary steps towards

becoming a Smart City and suggests to focus on strengthening research and innovation, pro-

moting social inclusion, and investing into sustainable mobility and energy. Yet the Prague

governance system as of today is not adequate for managing a “Smart City“. There is a strong

need for action on the organizational, strategic, and structural scale in order to make the

strategic management system of Prague fit for the challenges of today and coming decades.

New partnership with private sector necessary

Often it is the private companies that design solutions for sustainable cities, that create new

districts or refurbish houses and that operate the urban systems. Even municipal companies

usually operate based on the rules of the private economy. Prague has made negative experien-

ces with expensive public-private-partnerships in the past and is now hesitant to collaborate

with the private sector. However, it is necessary to improve the relationship between the City

Hall and the private sector. This should be done based on the principles of transparency and

C I T y P R o F I L E

10

equal treatment of all parties. The goal should be to activate private sector innovation and

entrepreneurship for supporting sustainable development goals of the city. Examples for

adequate instruments that support this goal are:

�� A clear building code for Prague that incentivizes a green and socially balanced real-estate

market.

�� Innovation based procurement tools like competitive dialogues or innovation partnerships.

�� A continuous dialogue with the private sector on strategic development topics of Prague

(e. g. facilitated through a think tank).

�� Incentive systems that encourage private stakeholders (start-ups, citizens, SMEs etc.) to

contribute to a positive development of the city.

3.2 economy & Innovation system

The innovation landscape of Prague with its dynamic start-up scene demonstrates an immense

potential. Many highly innovative industries are present in Prague, such as the pharmaceutical

and automotive industries, ICT, financial services, and consulting. However, one of the biggest

challenges for entrepreneurship and innovations in the Central Eastern region is the (still) rather

risk-averse conservative mentality. Another difficulty is posed by the spatial distance to the main

technological hubs, such as London, Berlin, Hamburg, Munich, etc. These technological hubs

offer high added value resources (investors, clients, mentors, consultants), which help start-ups

develop products better and faster, while at the same time increases their market value.

Challenges:Changesineconomicpattern&lackofstructures

The processing industry is showing a gradual shift towards hi-tech production due to activities

of multinational enterprises. On the other hand, companies are relocating their businesses into

the suburbs and into other Czech cities that offer a lower cost of living as well as various incen-

tives for businesses, e. g. tax reduction. In this situation, a lack of cooperation in R&D functions

between the actors has been identified. It is vital to acknowledge that the low level of coopera-

tion can be an obstacle on the path to strengthening Prague’s innovative competitiveness.

Opportunity:Prague’sfutureasahubforIT,creativity,andculture

The Czech Republic is nowadays one of top locations for outsourcing and offshoring IT-related

services and software design. The main reason for this is the established tradition of excellent

technical and mathematical education coupled with the still quite inexpensive workforce and

low operational costs when compared to the Western EU-countries, despite the Czech Republic

being member of the EU for over 10 years. Also, with its location at the heart of Central Euro-

pe, Prague is ideal for building trade links. The IT field is very vibrant and students of Czech

11

universities are active at setting up medium and small companies and start-ups, many of which

become successful. Examples of renowned software brands include AVG technologies and Alwil

(AVAST), which are both specializing in online security and antivirus products.

3.3 space, Planning & Mobility

Prague takes pride in its very well-developed public transportation system. With almost 30 % of

the overall budget spending, the public transportation system represents the largest portion in

the overall budget of Prague. The current figures show that this continuous investment into

developing, operating, and maintaining the public transportation network has made it one of

the largest success stories of Prague.

A key issue to be addressed in Prague today is the impact of the urban sprawl on the traffic

situation within the city and its suburbs. The urban sprawl almost solely refers to residential

suburbanization; the work places of most suburban dwellers remain located within the City of

Prague. Since the Metro line does not reach the outer areas and it is not integrated with a

regional transportation concept, the new suburbanites have to commute to Prague by car. As a

result some areas in Prague have witnessed explosive growth in traffic volume in the past 15

years. In total, the increase of vehicles on the roads of Prague has been rather modest (approx.

6 % since 2000). However, the traffic on the outer roads has increased by 53 %, while the

inner-road traffic has decreased by almost 18 %.

59,28%

10,64%7,29%

-60,00%

-40,00%

-20,00%

0,00%

20,00%

40,00%

60,00%

Inner cordon

Outer cordon

Total Prague

Shift in Prague’s road traffic since 2000

Change in car traffic Change in freight traffic

-16,39%

-56,00%

-12,50%

Figure 4

Shift in Prague’s road

traffic since 2000.

C I T y P R o F I L E

12

This development explains why the significant investments into the transportation system of

Prague have not been able to achieve a reduction of car traffic so far.

A key reason for this is that Prague has not focused its heavy investments into the roads and

the public transportation through soft mobility systems (e. g., park and ride hubs, bike & ride,

car-sharing opportunities) that are linked to mobility hubs, a comprehensive bicycle lane

network, or incentives to make use of more environmentally friendly modes of transportation.

Prague has also refrained from introducing regulatory measures to make car-usage within the

city less attractive (reduction of parking slots, congestion charges, low emission zones, high

parking costs etc.). A second reason is that there is no, or only little collaboration between

Prague and the Regional Transportation system, which would coordinate an improved public

transport on the regional level. Upgrading the sequence of regional trains and their transporta-

tion capacity is an action field that needs strong attention in the upcoming years.

Railway

Metro

Tram

Bus

Passengers development in Prague's transportation system

700 Mio.

600 Mio.

700 Mio.

600 Mio.

700 Mio.

600 Mio.

0

2000 2002 2004 2006 2008 2010 2012

Figure 5: Development of passenger volumes in Prague.

13

3.4 buildings

There is a lack of information on the energy efficiency of Prague’s building stock, on the number

of deep renovations and on the quality of building envelopes and HVAC-systems. This results

from the data of energy performance assessments, which are carried out after major renova-

tions, not being systematically collected by the city Building Department. Currently it is planned

to collect the data from the Energy Performance Certificates until 2016 by the Ministry of In-

dustry and Trade, however, it takes politicall will to push this project forward as it is associated

with high upfront and operating costs. As of now, only incomplete data exists for the territory

of Prague, however, it is assumed that about 20 % of Prague’s building stock has undergone

energetic refurbishment within the last decade. Derived from this, with an estimated average

spending of € 12 million per year for the energetic refurbishment of buildings and an estimated

refurbishment rate of 2 %, the progress in modernizing the building stock of Prague is rather

slow.

At the same time, there is a high amount of vacant buildings in the inner city, leaving high

untapped potential for a real estate market focussed on sustainable buildings. It is therefore

essential to assess the energetic quality of Prague’s complete building stock and to develop

a clear strategy for the refurbishment of the building stock.

Demandforclearregulationsoflocalbuildingstandards

There are little regulations in place that incentivize private investments into a sustainable deve-

lopment of Prague. The cost-benefit analysis demonstrates that by means of adopting a clear

building code, the city will ensure that all urban development planning procedures follow the

same principles with regard to financing and social and ecological standards.

Essential aspects to be considered in the new building code are:

�� Refinancing of city services

�� Investments into social infrastructure

�� Subsidized housing

�� Energy requirements

�� Realization of urban functions:

�� Proportion of housing and a mix of different living space sizes

C I T y P R o F I L E

14

3.5 energy system

Prague has an unproportinally high demand for energy and electricity, which needs to be

tackled via a bundle of measures.

Only 3.6 % of Prague’s energy demand is covered by energy produced within the city. Nearly

the same value (3.5 %) is the current amount of renewable energy sources in the overall energy

production in Prague. The solar, biological, and wind energy potential within Prague and its

region is not well exploited. With € 0,128 / kwh the energy price is remarkably low and leaves

room for investments. The average global median for residential electricity is € 0,335 / kwh.

Increasetheuseofrenewableenergysources

Prague needs to expand the use of renewable energy sources and launch pilot projects in the

field of smart energy grids. However, the existing constraints need to be taken into account.

First of all, due to a large part of the Old Town being part of UNESCO World Heritage, only

limited use of solar panels is possible. Regarding wind energy use, due to high buildings density

only small turbines on the rooftops of the buildings in suburbs are feasible. Moreover, biomass

use in Prague faces lot of barriers as emissions are relatively high compared to natural gas / dis-

trict heating used in Prague. There is also considerable need for additional storage space and

additional transport, which will add to the emissions. Finally, burning biomass produces large

dust particles.

Introduceincentivesforenergyefficientindustries

The share of the industry sector in energy consumption in Prague is assumed to be only about

10 %, mostly due to the decline of some energy demanding industry sectors. However, there is

a lack of incentives for energy efficient industry within the Czech Republic, like subsidies or tax

reliefs for energy efficiency measures.

15

4 strategy & suggested Measures

Based on the in-depth analysis of over 120 indicators and more than 80 action fields in Prague,

it is suggested to base the strategy for a smart and sustainable development of Prague on three

main levels as shown in the figure below:

A cross-integration of all levels of analysis of the Prague city lab and a set of discussions and

workshops with more than 80 stakeholders in Prague has produced a comprehensive list of

25 high-priority measures that are allocated to the three levels of activity.

Figure 6

Levels of action for a sustainable

development of Prague.

Infr

astr

uctu

res

& Res

ilience

Energy & Buildin

gs

Space, Mobility & Planning

Digital & CreativePrague

Smart Leadership System

Level 1: Governance

Level 3: Technologies & Infrastructures

Level 2: Socio-EconomicStrategy

16

All measures are interconnected with each other and should be developed and organized in a

way that respects the systemic character of the suggested roadmap. There are causal interrela-

tions, but also interrelations based on time, resources, stakeholders, and technologies to be

deployed during implementation. The roadmap, as suggested below, should therefore be close-

ly discussed in relation to an overarching strategic management of a sustainable development

of Prague.

17

ICT

Water

Education

Ener

gy

Business Tactics

Urban Planning

Buildings

Resilience

Tran

spor

t

Incentives

R&D Tactics

Imag

e

Strategy & Planning

Organization

& Structure

Regu

latio

ns

Energy atlas

Virtual power plant

Lighthouse energetic refurbishment of

public buildings

Energy&Buildings

Vision and measurable goals for Prague 2050

Smart City Innovation Fund

Cross-sectoral management unit within

Prague City Hall

Leadership System & Governance

5 suggested Measures

18

ICT

Water

Education

Ener

gy

Business Tactics

Urban Planning

Buildings

Resilience

Tran

spor

t

Incentives

R&D Tactics

Imag

e

Strategy & Planning

Organization

& Structure

Regu

latio

ns

Innovation district

Sustainable redevelopment of Venceslav

Square

Network of multimodal transportation

hubs

Space,Planning&Mobility

Smartification of the historic city centre

Open Data platform with analytics

centre + new value added services

Smart City think tank

Digital&CreativePrague

19

5.1 Leadership system & governance

The governance and strategic management of a long-term development of Prague has been

identified as the strongest lever for a sustainable and prosperous development. Governing the

transition towards a creative, sustainable, and digital city needs not only a stern leadership, but

also a set of clearly defined tools and strategic measures that support a long-term management

of complex urban systems.

A small bundle of strategic actions is therefore necessary to make the governance system of

Prague fit for a long-term management of interdependent development tasks:

Suggested Measures

1.VisionandmeasurablegoalsforPrague2050

Clearly defined and measurable goals are necessary to steer the development of Prague. They

serve as guideline for the subsequent strategic development process of Prague and help to

prioritize investments and decisions. A long term perspective (e. g. 2050) helps to focus and to

address urban development projects as well as social- and economic strategy. The vision needs

to be rooted in Prague’s society.

2.Cross-sectoralmanagementunitwithinPragueCityHall

Prague increasingly has to manage complex development projects that require the collaboration

of various departments of the City Hall and several municipal companies. A cross-sectoral

management unit within the administration helps bring together the multiple municipal stake-

holders and break the silo-thinking within city administrations. It should be endowed with

strategic long-term planning and with managing cross-cutting (smart city) projects. Ideally, it

will report directly to the mayor. ICT-based management tools and a KPI-based monitoring

system are required to enable this unit to strategically manage the development process of

Prague. In order to function properly it will also need to serve as a showcase and catalyst for

all sustainability measures of the city externally. It should increase the reputation and visibility of

the operational offices, not undermine them

3. Smart City Innovation Fund

A Smart City Innovation Fund gives grants or loans to start-ups, university groups, SMEs or

companies for realizing innovative ideas that support the development goals of the city. It helps

to leverage the creative potential of Prague’s society and to link it to the development of the

city. At the same time it spurs co-investments by the private sector into the development of

Prague. This fund could be financed by earmarking revenues from municipal companies and by

a co-financing scheme with the private sector and / or state funds.

S u G G E S T E d M E a S u R E S

NEED FOR ACTION

A clear vision for steering the

long-term development is

lacking. Unclear priorities.

SOLUTION

Definition of clear and measu-

rable development goals.

NEED FOR ACTION

Measures and interventions are

not coordinated across depart-

ments.

SOLUTION

Instalation of cross-sectoral

management unit.

NEED FOR ACTION

Activate Prague’s society to sup-

port a creative and sustainable

development.

SOLUTION

Setup a Smart City Innovation

Fund Prague.

20

5.2 digital & Creative Prague

Prague is in quest of a new identity. The old business model, which is based on tourism and

cultural heritage, does not provide for prosperous and sustainable development of the city in

the 21st Century. Therefore the “Digital and Creative Prague” suggests a set of integrated

measures that together have the potential to create a new identity of Prague as a creative and

thriving city at the core of the European digital economy.

Suggested Measures

1.Smartificationofthehistoriccitycentre

As a first tangible lighthouse project, it is suggested to improve the experience of visiting, living,

and working within the historic city centre. A set of smart technologies combined with smart-

phone-based services has the potential to better guide tourists and local citizens to existing cul-

tural assets of Prague, as well as to integrate local shops, museums, restaurants, businesses,

etc., in an overarching story of a smart and creative city. It is suggested to include the infra-

structure of the city centre into this process – e. g. via smart waste bins, intelligent lighting sys-

tems, smart city logistics based on electric vehicles, etc.

2.OpenDataplatformwithanalyticscentre+newvalueaddedservices

As the necessity for processing data in Prague increases exponentially (e. g. from traffic monitor-

ing, citizen-based applications, urban sensors etc.), a data analytics centre for Prague becomes

a necessity. Only with information flows and datasets bundled together in one place, city au-

thorities and local companies will have the opportunity to improve the efficiency of city services,

and to develop new value-added services that improve the liveability of the city and support the

digital economy. Many services can be built on top of an open platform and a data analytics

centre. We suggest initially focusing on an online platform for mapping and connecting the

creative industries of Prague, a smart digital welcoming program for international employees

and students, and an upgraded online marketplace for local and international companies.

3.SmartCitythinktank

A Smart City Think Tank is a necessary facilitator for connecting Prague’s Universities, local com-

panies, and the city administration. It can enable the elaboration and implementation of the

proposed measures and projects as well as help attract private and international funds. Given

Prague’s location at the heart of Europe, it is essential that the Think Tank offers high quality

research and gains international recognition (e. g. via partnerships with MIT / Fraunhofer etc.).

NEED FOR ACTION

Integration of existing

cultural assets;

Redistribution of tourists‘ flows

SOLUTION

Smart applications and techno-

logies in the historic centre.

NEED FOR ACTION

High amount of data needed to

optimize urban processes.

SOLUTION

Open Data platform;

Data analytics centre;

Online marketplace

NEED FOR ACTION

Scattered research landscape

Lack in R&D;

Need for cross-cutting R&D

solutions;

Attraction of well-educated

empoyees

SOLUTION

Smart City think tank

21

5.3 space, Planning & Mobility

The development of the urban space, the planning of city development projects, and the trans-

portation sector are strongly linked with each other. Therefore suggested projects and measures

that relate to these areas are linked together for the Roadmap of Prague. The core of this area

focusses on the goal to upgrade and modernize the built environment of Prague by at the same

time making public spaces more attractive and liveable for Prague`s citizens and for visitors.

Suggested Measures

1. Innovation district

Prague needs a lighthouse district that shows the creative, environmental, social, and economic

potential of Prague in one spot, relating it to modern architecture and to appealing design. It is

therefore suggested to develop a new innovation district on one of the many existing brown-

fields of Prague (e. g. Holesovice or Zizkov). An innovation district will not only re-integrate

working and living, it has the potential to attract young families and reverse suburbanization,

to better link industry and research, and to attract creative industries and research-oriented

companies to Prague. In order to make sure that this district is developed in a socially viable

way, it is recommended to base parts of the development process in a participatory process of

co-creation through the citizens of Prague.

2.Networkofmultimodaltransportationhubs

A network of multimodal transportation hubs will support the city in reducing private vehicles

in the city center and shifting mobility further to public transportation and sustainable alternati-

ves like car- and bike-sharing. One intermodal mobility hub can easily be integrated into the

planning process of the innovation district, providing an innovative mobility solution for future

residents and local employees. An easy use of intermodal mobility services will only be possible

if intelligent digital services are provided to plan individual trips through Prague across different

modes of transport

3.SustainableredevelopmentofVenceslavSquare

The city centre of Prague needs to be upgraded to become attractive and energetically ap-

pealing for Prague’s citizens. There is the danger to only focus on tourists. This is the reason for

a suggested sustainable redevelopment of Venceslav Square and the creation of a green and

liveable bridge across the main station, connecting Namesti Repuliky and Namesti Winstona

Churchilla for pedestrians and bike riders.

NEED FOR ACTION

Create a showcase for the

creative and digital economy

of Prague in the 21st Century.

Attract international companies.

Retain skilled workers.

SOLUTION

Develop Prague innovation

district.

NEED FOR ACTION

Reduce car traffic, improve

parking and reduce emissions

from the transport sector.

SOLUTION

Create a network of multimodal

transportation hubs.

NEED FOR ACTION

Make city centre an attractive

place for citizens .

SOLUTION

Redevelop Venceslav Square &

connect Namesti Winstona

Churchilla with a bridge.

S u G G E S T E d M E a S u R E S

22

5.4 energy & buildings

In the light of binding EU goals on renewable energy use, energy efficiency and GHG emissions,

the fields of energy and buildings in Prague need urgent attention.

Suggested Measures

1.Energyatlas

Given the difficulty of managing the assets with little credible information about their state and

quality, the development of a comprehensive Energy Atlas of Prague’s building stock needs to

be the first step towards a city-based programme for energy efficiency and reduction of carbon

emissions.

2.Lighthouseenergeticrefurbishmentofpublicbuildings

In order to convince local building owners of the potential return on investment from the refur-

bishment of buildings, it is suggested that the city invests into 1 or 2 lighthouse projects that

combine energetic refurbishment of public buildings with the reduction of their maintenance

and operating costs.

3.Virtualpowerplant

Currently Prague has no back-up power plan to supply critical infrastructures in a case of a

black-out event. A virtual power plant that combines multiple sources of energy, including

conventional (natural gas for a natural gas fired CHP) as well as renewable ones such as solar,

biogas, hydropower, and wind energy is suggested as an additional measure for enhancing the

energy security of Prague and creating a lighthouse project for the use of renewable energy

sources. This possible stand-by facility could not only be useful for the city in case of black-outs,

but also in times of peak consumption. Despite limited return on investment, a back-up power

plant is essential for strengthening Prague’s energy security.

NEED FOR ACTION

Missing information on energy

performance of Prague’s buil-

ding stock.

SOLUTION

Energy atlas

NEED FOR ACTION

Energetic refurbishment of

Prague’s building stock.

SOLUTION

Lighthouse energetic refurbish-

ment of public buildings.

NEED FOR ACTION

Prague lacks a back-up energy

source for emergency situations.

SOLUTION

Virtual power plant

23

6 roadMaP: Prague deveLoPMent systeM

Leadership System & Governance Space, Planning & Mobility

Organize for learning journey

to Europe’s best smart citites

Create Strategic

Management

Unit

Set up and run

Smart City

Innovation Fund

Set up regular

foresight process

Set up a strategic long-term

management process across

all departments

Introduce ICT based

management system for the

City HallRedevelop Venceslav

Square

Introduce Multimodal

Transportation App

Develop an

Innovation District

for Prague

Design and test a co-creation

process for the district

development

Develop a Multimodal

Transport Hub as blue-

print for Prague

Develop a green liveable

connection bridge to Na-

mesti Winstona Churchilla

Develop Vision and define

measurable goals for a Smart /

Sustainable Prague 2050

2016

2017

2018

24

Energy & Buildings Resilience & InfrastructureSmart & Creative Prague

Improve the management of

volunteers in crisis situations

Develop and install a

Virtual Power Plant

Develop Energy Atlas

for Prague

Create Light -

house project

for the energetic

refurbishment of

public buildings

Develop a com-

munication network

between the relief services, criti-

cal infrastructures and resi-

dents

Develop a “Prague

Applied Innovation

Think Tank“

Develop an Online Platform that

maps creative industries

Upgrade Online Marketplace

Set up a Data

Analytics Centre

Set up Welcome Program for

international students and skilled

workers from abroad

Implement a concept to impro-

ve the feeling of security among

the residents

Smartify the

historic centre

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7 ConCLusIon

The Morgenstadt City Lab generated an in-depth analysis of the City of Prague. It shows

strengths and weaknesses of the current development process of Prague and suggests an

integrated roadmap for pushing Prague into the league of leading cities in Europe. This road-

map builds on measures and projects across three main levels of a sustainable urban develop-

ment which have close interrelations: the governance level, the socio-economic level and

the technology and infrastructure level.

At the core of the analysis there is the insight that Prague needs to put an innovation-based

management approach to work within the public administration and at the leadership level of

the city. This approach will serve to facilitate cross-departmental collaboration and investments,

to organise collaboration with the private sector and to spur a maximum uptake of data-driven

and ICT-based solutions to deliver public services in an efficient way. Starting from here, Prague

has the potential to become a leading city in Europe with regards to creativity, culture and a

digital economy.

The roadmap includes 25 measures. Not all of them have been described in the Executive

Summary. The final report of the City Lab Prague contains the full analysis of the city and a

detailed description of all measures. It will be made available to the City Hall during spring

2016.

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Contact:

Fraunhofer Institute for Industrial Engineering,

Nobelstrasse 12, 70569 Stuttgart

www.iao.fraunhofer.de

Alanus von Radecki, Fraunhofer IAO

Phone +49 711 970-2169

alanus.radecki@iao.fraunhofer.de

Printed on acid-free and chlorine-free bleached paper.

Frontispiece: © luciano mortula – Fotolia / Fraunhofer IAO

Page 11: © Martin M303 – Fotolia

Page 15: © luciano mortula – Fotolia

© Fraunhofer IAO, 2016

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